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Fadco hired Sam to work under a 4-year contract. However, Fadco fired Sam 3 years later without legal cause. To recover for damages, Sam must

Fadco hired Sam to work under a 4-year contract. However, Fadco fired Sam 3 years later without legal cause. To recover for damages, Sam must

  • A.Accept similar employment in the same locality under the liquidated damages rule.

  • B.Attempt to find similar employment under the special damages rule.

  • C.Accept any employment in the locality to liquidate the damages.

  • D.Attempt to take reasonable steps to mitigate the damages.

BIM Co. acquired land with the intention of building a shopping mall. For this purpose, it entered into an agreement with MBI Co., a contractor. HAL Co. learned of BIMs plan, promptly bought adjacent property, and began constructing a fast-food outlet to take advantage of the anticipated increase in traffic. After HAL began construction, BIM decided not to build the shopping mall. As a result, the fast-food outlet is unlikely to be viable. Consequently, HAL has sued BIM and MBI for breach of contract. HAL will

  • A.Win because it is a third-party creditor beneficiary.

  • B.Lose because it is a donee beneficiary.

  • C.Win because it is an intended beneficiary.

  • D.Lose because it is a third-party incidental beneficiary.

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